How Equal Pay Benefits Everyone
The Equal Pay Act of 1963 guarantees equal pay regardless of gender. The EPA states that “no employer having employees subject to any provision of this section shall discriminate […] on the basis of sex.” The law means that employers cannot pay people different wages or grant them different benefits based solely on their sex. Historically, women have received lower wages than men have, and the problem persists to this day despite major improvements. Recent studies reveal that paying women more can actually benefit the American economy and everyone involved. The following are some of the benefits that equal pay can bring.
One huge benefit of following the EPA is avoiding the legal consequences of discrimination. If an employer discriminates against an employee, they could face a costly lawsuit in addition to fines and imprisonment. Public knowledge of an EPA violation can also damage a company’s reputation.
Women sustain the American economy. On average, women account for 83% of all U.S. spending among consumers. When people receive less pay, their spending power is limited. When people have fair pay, they are more likely to pass this gain on to the economy, stimulating economic growth. Paying everyone a fair wage could actually benefit the whole U.S. economy.
Innovation and Competitiveness
People will opt to stay out of the workforce if they do not believe the potential pay is worth their time. This decline in workers harms innovation in the workforce because not every eligible worker is contributing their skills to the workforce. Labor is an asset, and the U.S. cannot compete with other countries that use the full extent of their workforce to improve their industries.
Modern women are increasingly becoming the breadwinners of their family. Families with one earner are particularly hurt by the wage gap, making it difficult to support a family on their own. A report by the Institute for Women’s Policy Research found that paying women fairly could cut the poverty rate of working women in half and improve the overall poverty rate in the U.S.
Contact an Austin Wage Lawyer
You have a right to receive fair pay for your work. If you are discriminated against based on your sex, you should contact an experienced wage lawyer immediately. At The Melton Law Firm, our compassionate lawyers will work with you to get you the compensation you deserve for your suffering. Please don’t hesitate to call our Austin offices at (512) 330-0017 to begin discussing the details of your case today.